14 hours ago
B.C. Appeal Court upholds US$30M fraud judgment against West Vancouver man
The Law Courts building, which is home to B.C. Supreme Court and the Court of Appeal, is seen in Vancouver, on Thursday, November 23, 2023. THE CANADIAN PRESS/Darryl Dyck
The B.C. Court of Appeal has upheld a US$30 million court judgment against a West Vancouver man alleged by the U.S. government to be the 'mastermind' of a years-long securities fraud.
The ruling says the U.S. Securities and Exchange Commission originally sued Frederick Sharp and others in a Massachusetts court in 2021, and won a default judgment that was recognized by the B.C. Supreme Court last year.
The Appeal Court ruling says Sharp contested the judgment, claiming he had no 'real and substantial connection' to Massachusetts and also arguing he hadn't been properly served with documents related to the case.
The lower court had rejected Sharp's arguments, finding they would 'possibly allow complex international fraud schemes to avoid accountability' if cases were spread across different jurisdictions.
The Appeal Court ruling says the commission provided evidence that Sharp was 'evading' service of the case documents, and the lower court correctly found 'ample evidence' that documents were delivered to Sharp's West Vancouver address.
The appeal ruling released Wednesday says Sharp tried to use expert evidence to show he wasn't 'validly' notified of the U.S. judgment, evidence the commission called an 'irrelevant sideshow.'
This report by Darryl Greer, The Canadian Press, was first published June 25, 2025.
